This study rests on the premise that the relationship between the innovation and competitiveness is strong. In 2000 European Union adopted the Lisbon Agenda to make EU to become the region where should have the highest competitiveness in the world. The Agenda said that innovation would play an important role.I focused the Regional Innovation Systems (RIS) in order to study the relationship between regional competitiveness and industrial policy. RIS may be related to the industrial cluster since innovation accelerates in the cluster. I showed that in progress of globalization, RIS has been changed. In the high-tech industry clusters firms and organizations intensified the relationship with own region, and in the traditional industry cluster firms gathered around the coordinator.In Japan, the industrial policies for the improvement in competitiveness were adopted from the 1990s. I studied about the cluster of traditional industries in Hyogo Prefecture. I showed ; 1)Degree of accumulation
… More is high. 2)The evaluation to cluster in that region is high. 3)The member of cluster appreciated resources that they obtained from cluster.The local authorities will cover the industrial policies based on the idea of clusters. I studied about the Industrial Support Organizations (ISOs) and the industrial policy which has influence to the RIS. I did survey about ISOs and about cities in Japan by the two questionnaires.First I clarified about ISOs activities ; 1)They supported rather the small and medium-sized enterprises than the ventures. 2)The role of them has been changing from "provider" to "intermediary" and will become "supporter of creation". 3)They thought industry-university cooperation as important. Second I clarified about industrial policy ;. 1)The city which has industrial accumulation was 40 percent. 2)The environment of an innovation improves like the large cities. 3)Cities thought that the competitiveness was important than fairness and need the deregulation for the competitiveness. Less